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Explain the means of lifting in the capital with the stated advantages and disadvantages of lifting in the capital?

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Question added by Deleted user
Date Posted: 2014/09/22
georgei assi
by georgei assi , مدير حسابات , المجموعة السورية

I agree with Mr. Hani answer

 

Deleted user
by Deleted user

Lifting means in the capital: . . Lifting in the capital in cash: a sale of shares by existing shareholders . . Lifting in the capital in kind (naturally) and is through for the institution's assets (fixed assets

, stocks, rights, etc ...) by the shareholders.   . . Lifting in the capital annexation Precautions: This is through annexation precautions

(undistributed profits) to private funds, so that does not happen any change to the financial

structure, . . Lifting in capital through debt conversion: a conversion of debt into equity institution,

by bringing it to the private funds, so as not to lead to an increase in liquidity, also called

a concentration of debt.   . . Lifting in the capital of partial or total integration between the two institutions:  . Lifting the advantages and disadvantages in the capital:   Pluses:   - Does not pay back the money that has been obtained through the lifting of capital and the

return on these funds is linked to the outcome of the institution; - The level of debt remains as it is. Cons:   - Melting of capital: This is reflected in the decline in the carrying value of the shares through

the fact that the new shareholders have the right to Sharing precautions with shareholders

veterans; - Melting profit: through lower net earnings per share due to the high number of shares

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